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CGB-CC-1369 rv. 4-20-16 Page numbers added

REQUEST FOR CC WAIVER

TV PROGRAM

Keeler in the Morning – TV Simulcast

CONTACT

Bill Keeler

UTICA MEDIA CORP 9418 River Road Marcy, NY 13403

315.768.9500 Wkeeler1@twcny.rr.com

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UTICA MEDIA CORP

TV Program: Keeler in the Morning – TV Simulcast 9418 River Road Marcy, NY 13403

315.768.9500 Wkeeler1@twcny.rr.com

REQUEST FOR AN ‘ECONOMICALLY BURDENSOME EXEMPTION’ OF CLOSED CAPTIONING REQUIREMENT

I. NAME OF PROGRAM

1. KEELER IN THE MORNING

II. NATURE AND COSTS OF CLOSED CAPTIONING THE PROGRAM

1. The program is a 3-hour live feed of my radio show each morning, Monday through Friday, 52 weeks out of the year.

2. We ran the program from the summer of last year until the end of December when the costs of closed captioning became overbearing.

3. We were paying $70 per hour to have the program live captioned by Caption Advantage in Syracuse, NY. PREVIOUS SERVICE Caption Advantage $70/hour $1050/week $4550/month $54,600 annually QUOTE TWO AppTek ($1800 set up) $54/hour $811.54/week $3516/month $42,200 annually QUOTE THREE VITAC $90/hour $1350/week $5850/month $70,200 annually

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4. We have considered purchasing the captioning equipment; however,

it has been deemed not feasible at this time.

III. THE IMPACT OF CAPTIONING

1. We attempted to use local sponsors to cover the captioning fees and that proved not to be feasible in the long run. Because of closed captioning fees, we have had to cease the broadcast for the time being. We plan to seek grants to cover the expenses of captioning, so that we will be able to properly serve the hearing impaired people in our community.

2. Captioning of this program is extremely expensive because of two reasons: 1) It’s 15 hours a week and 2) The program is live and must be ‘Live Captioned” which means the costs are significantly higher.

IV. FINANCIAL RESOURCES

1. We tested this simulcast from August until December of 2015, during which time I was able to get 3 sponsors for $11,250.00

a. The Brindisi Law Firm $4500 (Paid directly to Caption Advantage)

b. The Utica Tower $4500 c. Media Corp $2250

2. Caption Advantage worked with us financially to assist in providing the services when we did not have the closed captioning sponsors.

3. Currently, we have no sponsors committed to this simulcast and we’re beginning to work with a grant writer to cover the cost of the captioning. This process is expected to take several months.

4. The radio and television stations have provided the equipment and airtime needed to carry out the live simulcast. There have been no associated expenses. Our only expense is the closed captioning fee.

V. SUMMARY OF INCOME AND EXPENSES

1. Unfortunately, the Keeler in the Morning TV simulcast does not offer an opportunity to generate revenue for Utica Media Corporation, the WIBX or WFXV. As a result, both the radio and television stations have suggested that we work towards accomplishing non-traditional funding to be paid directly to the caption service in order to support the project. We’re also working towards getting a grant to cover the expense.

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This is an added service to the members of our community of an existing radio show, which expands the broadcast to people who might not otherwise be able to experience such a live, local morning radio program that delivers news, local information and commentary. Because there is absolutely no revenue generated from the simulcast, there are no associated financials to provide as part of this request with the exception of the closed captioning fees that have already been incurred. Additionally, it is our intention to become fully compatible with the closed captioning requirements as soon as the grant funding is awarded. Utica Media Corp is a television production company that produces local television programming, commercial and political television programs and commercials, as well as websites and web content. A copy of our latest tax form is provided below.

VI. CURRENT ASSETS AND LIABILITIES

Utica Media Corp is generally a small television production company with annual revenues of under $100,000. Most of our revenue is generated through the production of political television commercials. Cash on-hand normally ranges from $1000 to $5000 monthly. In terms of equipment for the radio show simulcast on WFXV, we have one GoPro camera and a microwave transmitter on loan from the television station. The audio is fed through existing equipment in the radio studio. There are no additional employees needed for the simulcast and no additional liabilities or assets. The simulcast is considered a public service to the community and we purchase the airtime for $1 a month to complete the transaction. Staff members of the Keeler in the Morning program are not compensated for the television simulcast.

VII. VIDEO PROGRAMMING DISTRIBUTOR ASSISTANCE We initially reached out to WFXV-TV and WIBX radio for assistance with the closed captioning requirements. It was determined that the market could not sustain local business support for the closed captioning expense, as it totaled over $50,000 annually. Since then, we’ve been exploring a software version of captioning options that include a company named AppTek, which was previously described. This would

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offer a savings of about $20,000 annually; but will not be available to us until we secure a grant. Initially, we contacted WFXV to inquire if they provided the closed captioning service only to find out that they currently outsource to Caption Advantage in Syracuse, which we used to run the broadcast until it became too costly.

VIII. ADDITIONAL SPONSORSHIPS We are currently looking at all options for financial support, even in addition to the grant opportunities; however, this is somewhat complicated. This simulcast is considered an “outside project” that I, as the host of the radio program, have been given permission to pursue under the following conditions: a.) that the program doesn’t cost the radio or television stations any additional expense and b.) that no profit is made from the simulcast. Management from both the radio and television sides agreed to avoid the messy situation of both entities attempting to sell the same program or even the complications of a shared revenue program between the two companies. Therefore, I was given specific instructions: “If you can get this done and it doesn’t cost either side any money, then you have permission to proceed.” Another option was to allow a third-party to live-switch the program, sell advertising and then pay both the radio and television stations a fee for broadcast rights. This option was rejected over the very difficult hurdle over the problem of sponsor duplication in a smaller market such as Utica-Rome, which already struggles with a dwindling local market base.

One additional option was considered, and ultimately deemed unfeasible:

1. The radio station would get into the business of selling television ads and would serve as the production company. An additional investment of $15,000 in equipment and one $20,000 per year part-time employee would be required. Sales staff would assume the task of selling the television portion of the radio show.

IX. TYPE OF OPERATIONS

The simulcast of the Keeler in the Morning radio show each morning tremendously expands the reach of the program, which airs on WIBX 950 AM, a 25,000 AM station in Utica, NY. The simulcast allows us to reach into surrounding areas that struggle with an AM radio signal and it also expands our reach to areas outside the radio’s coverage area, like rural

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communities and cities like Oneonta and Cooperstown. The simulcast airs uninterrupted from 6 am – 9 am Monday through Friday on WFXV-TV out of Utica. The program consists of news, sports and weather information, along with calls from listeners and interviews with community leaders and members. We offer emergency public service when it is required and vital information for our listeners on a daily basis. The Keeler in the Morning program is currently the #1 rated morning radio program in the Utica-Rome listening area for adults 25-54 and the key demographic of 35-plus.

X. REQUIRED INFORMATION The following specimens have been submitted as validation:

1. Receipts from Caption Advantage a fees for captioning 2. An email and proposal from AppTek, a software company

providing software based voice-recognition and captioning 3. An email and proposal from Vitac Captioning Service 4. Utica Media Corp tax return 2015

I declare under penalty of perjury that the statements and details in this request are true and correct. Executed on Wednesday, April 20, 2016. Signed: ____________________________________4/20/16

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